Agricultural machinery service adoption and farmland transfer-in decision: evidence from rural China

With the deepening of China’s agricultural labor division, the rapid development of agricultural machinery service has had a profound impact on farmland scale management. Based on the new classical economic and transaction cost theories, this paper investigates the impact mechanism of agricultural m...

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Main Authors: Yujiao Zhang, Jian Zhang, Yang Liu, Peixin Zhu
Format: Article
Language:English
Published: Frontiers Media S.A. 2023-08-01
Series:Frontiers in Environmental Science
Subjects:
Online Access:https://www.frontiersin.org/articles/10.3389/fenvs.2023.1195877/full
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author Yujiao Zhang
Jian Zhang
Yang Liu
Peixin Zhu
Peixin Zhu
author_facet Yujiao Zhang
Jian Zhang
Yang Liu
Peixin Zhu
Peixin Zhu
author_sort Yujiao Zhang
collection DOAJ
description With the deepening of China’s agricultural labor division, the rapid development of agricultural machinery service has had a profound impact on farmland scale management. Based on the new classical economic and transaction cost theories, this paper investigates the impact mechanism of agricultural machinery service on farmers’ farmland transfer-in decision from the dual perspectives of transaction cost and benefit of labor division, and uses the national rural survey data on the Chinese Family Database to conduct empirical research by using the ordinary least square (OLS) model and limited information maximum likelihood (LIML) method. The study finds that, first, agricultural machinery service expands farmers’ farmland transfer-in decision by encouraging them to obtain the economic efficiency of labor division. Not only agricultural machinery service can alleviate the constraint of farmers’ farmland transfer in labor and capital but also reduce the service transaction cost and increase farmers’ share of the division of labor economy, which further stimulates farmers to expand the scale of management. Second, with the deepening of labor division of agricultural machinery services, the higher transaction efficiency of agricultural machinery service promotes farmers’ farmland transfer-in participation. As long as the marginal net benefit obtained is greater than zero, farmers have incentives to expand the scale of farmland. Therefore, in order to promote China’s farmland scale management, the professional, whole-process, and large-scale development of agricultural machinery services should be further promoted, and the service capacity and fields should be expanded so that outsourcing services can be better provided to agricultural production demanders. At the same time, the technical standards, supervision system, and service platform of agricultural machinery should be established and improved so as to enhance the bargaining position of farmers in service outsourcing transactions, thus promoting the development of agricultural division of labor to a higher level and realizing the mutual promotion and mutual benefit of agricultural machinery service subjects and agricultural land scale management subjects.
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spelling doaj.art-4e00246a9608485ab53d6d5c35ccd7db2023-08-11T15:06:11ZengFrontiers Media S.A.Frontiers in Environmental Science2296-665X2023-08-011110.3389/fenvs.2023.11958771195877Agricultural machinery service adoption and farmland transfer-in decision: evidence from rural ChinaYujiao Zhang0Jian Zhang1Yang Liu2Peixin Zhu3Peixin Zhu4College of Public Administration, Nanjing Agricultural University, Nanjing, ChinaResearch Center for Land Utilization and Ecological Security Governance in Mining Areas, China University of Mining and Technology, Xuzhou, ChinaCollege of Public Administration, Nanjing Agricultural University, Nanjing, ChinaCollege of Public Administration, Nanjing Agricultural University, Nanjing, ChinaChina Resources & Environment and Development Academy, Nanjing Agricultural University, Nanjing, ChinaWith the deepening of China’s agricultural labor division, the rapid development of agricultural machinery service has had a profound impact on farmland scale management. Based on the new classical economic and transaction cost theories, this paper investigates the impact mechanism of agricultural machinery service on farmers’ farmland transfer-in decision from the dual perspectives of transaction cost and benefit of labor division, and uses the national rural survey data on the Chinese Family Database to conduct empirical research by using the ordinary least square (OLS) model and limited information maximum likelihood (LIML) method. The study finds that, first, agricultural machinery service expands farmers’ farmland transfer-in decision by encouraging them to obtain the economic efficiency of labor division. Not only agricultural machinery service can alleviate the constraint of farmers’ farmland transfer in labor and capital but also reduce the service transaction cost and increase farmers’ share of the division of labor economy, which further stimulates farmers to expand the scale of management. Second, with the deepening of labor division of agricultural machinery services, the higher transaction efficiency of agricultural machinery service promotes farmers’ farmland transfer-in participation. As long as the marginal net benefit obtained is greater than zero, farmers have incentives to expand the scale of farmland. Therefore, in order to promote China’s farmland scale management, the professional, whole-process, and large-scale development of agricultural machinery services should be further promoted, and the service capacity and fields should be expanded so that outsourcing services can be better provided to agricultural production demanders. At the same time, the technical standards, supervision system, and service platform of agricultural machinery should be established and improved so as to enhance the bargaining position of farmers in service outsourcing transactions, thus promoting the development of agricultural division of labor to a higher level and realizing the mutual promotion and mutual benefit of agricultural machinery service subjects and agricultural land scale management subjects.https://www.frontiersin.org/articles/10.3389/fenvs.2023.1195877/fullservice outsourcingfarmland scale managementtransaction costdivision economyagricultural modernization
spellingShingle Yujiao Zhang
Jian Zhang
Yang Liu
Peixin Zhu
Peixin Zhu
Agricultural machinery service adoption and farmland transfer-in decision: evidence from rural China
Frontiers in Environmental Science
service outsourcing
farmland scale management
transaction cost
division economy
agricultural modernization
title Agricultural machinery service adoption and farmland transfer-in decision: evidence from rural China
title_full Agricultural machinery service adoption and farmland transfer-in decision: evidence from rural China
title_fullStr Agricultural machinery service adoption and farmland transfer-in decision: evidence from rural China
title_full_unstemmed Agricultural machinery service adoption and farmland transfer-in decision: evidence from rural China
title_short Agricultural machinery service adoption and farmland transfer-in decision: evidence from rural China
title_sort agricultural machinery service adoption and farmland transfer in decision evidence from rural china
topic service outsourcing
farmland scale management
transaction cost
division economy
agricultural modernization
url https://www.frontiersin.org/articles/10.3389/fenvs.2023.1195877/full
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AT yangliu agriculturalmachineryserviceadoptionandfarmlandtransferindecisionevidencefromruralchina
AT peixinzhu agriculturalmachineryserviceadoptionandfarmlandtransferindecisionevidencefromruralchina
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